Quantitative Management: Sensitivity Analysis

Course Status:	Released
Course Language:	English
Course Duration:	5 Hours
Deployment Options:	Online, Interactive CDs, Network, Downloads, Intranet

Audience

Analysts and business decision makers seeking competency in the area of quantitative management

Prerequisites

A general understanding of information systems and management principles, along with a grounding in calculus and algebra

Course Aim

To introduce the user to graphical sensitivity analysis, the interpretation of LINDO sensitivity reports, and spreadsheet analysis

Learning Objectives

Explain the uses of sensitivity analysis. Perform sensitivity analysis on objective function coefficients using graphical methods. Perform sensitivity analysis on right-hand side constraint values using graphical methods. Interpret the objective coefficient ranges and reduced costs in a LINDO report. Interpret the right-hand side ranges in a LINDO report. Interpret a LINDO solution. Interpret Solver's answer and limits report. Interpret Solver's sensitivity report. Interpret sensitivity analysis on spreadsheet solutions to linear programming problems.

Topics Covered

Graphical Solution - Introduction to sensitivity analysis - Objective function coefficients - RHS constraint values LINDO Analysis - Objective function coefficients - RHS constraint values - Hands-on: A LINDO solution Spreadsheet Analysis - Answer and limits reports - Sensitivity report - Hands-on: A spreadsheet solution